Radar Logic: Home prices sink in 21 of 25 metro areas
Sacramento leads in rate of year-over-year price decline in January
By Inman News, Thursday, April 3, 2008.Bookmarking Sites
The price per square foot of housing shrank in 21 of 25 metro areas year-over-year in January, according to a report released today by real estate research and data company Radar Logic, with double-digit percentage declines in nine market areas.
The price-per-square foot of homes in Sacramento, Calif., dropped 27.8 percent year-over-year in January, according to Radar Logic's data tracked during a 28-day period in January.
Las Vegas was second in its rate of decline with a 25.4 percent year-over-year drop in the price per square foot, followed by San Diego, down 21.2 percent; Los Angeles, down 16.6 percent; and Tampa, Fla., down 14.6 percent.
Charlotte, N.C., had a 3.9 percent gain in the price per square foot. New York City was the only other market tracked by Radar Logic to experience a year-over-year gain in January, at 2 percent.
Seattle has led among metro areas tracked by Radar Logic for its 6 percent annualized gain in home prices over the past two years, while Miami has led over the past five years. Sacramento, meanwhile, has shown the largest two-year annualized decline and Detroit has shown the largest five-year decline.
Radar Logic RPX Monthly Housing Market Report, January 2007-January 2008
Metro area |
% change price per sq. ft. |
Charlotte, N.C. |
3.9% |
New York, N.Y. |
2.0% |
Milwaukee, Wis. |
-0.8% |
Philadelphia, Pa. |
-0.9% |
Seattle, Wash. |
-1.4% |
Columbus, Ohio |
-2.4% |
St. Louis, Mo. |
-3.0% |
Chicago, Ill. |
-3.2% |
Jacksonville, Fla. |
-3.9% |
Cleveland, Ohio |
-6.1% |
Minneapolis, Minn. |
-7.2% |
Washington, D.C. |
-8.7% |
San Jose, Calif. |
-8.8% |
Boston, Mass. |
-9.0% |
Denver, Colo. |
-9.1% |
Atlanta, Ga. |
-9.2% |
Detroit, Mich. |
-13.2% |
San Francisco, Calif. |
-13.3% |
Miami, Fla. |
-14.4% |
Phoenix, Ariz. |
-14.6% |
Tampa, Fla. |
-15.6% |
Los Angeles, Calif. |
-16.6% |
San Diego, Calif. |
-21.2% |
Las Vegas, Nev. |
-25.4% |
Sacramento, Calif. |
-27.8% |
Source: Radar Logic RPX Monthly Housing Market Report.
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Submitted by Chris Jones on April 4, 2008 - 6:48am.
I'm in the Atlanta market and the number of -9.2% is not close to the number we see here. I have looked at Radar Logic's methodology and find it confusing on the actual market moves. As we all know, real estate is local (not only MSA local but county/community local).
As an overall MSA, Atlanta is not seeing a -9.2% decline in home values. As Mark Twain made famous, "There are lies, damned lies and statistics." You can spin the numbers anyway you want and you can publish your methodology claiming it to be superior but the market is the market and real facts are these:
1. 30% - 33% decline is sales transactions (not values). The good news is we are seeing a good Spring bounce.
2. Certain counties/communities are experiencing good growth and a healthy inventory level.
3. Certain counties/communities are experiencing no growth or even negative growth due to a higher number of foreclosures where the banks are being very aggressive to offload them.
4. For the most part, we are experiencing a .7% to 3% possible decline on a community-by-community basis (some are actually positive).
You also have the ofhec report and the Standard and Poors report that is published each month reflecting two months back. For the average consumer, their best bet is to get a true Competitive Market Analysis of their home in their community to determine the REAL value of their largest asset.